how to franchise internationally

10 Tips to Franchise Your Business Internationally

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Is international franchising the best way to grow your business?

Growing your business through international franchising has clear advantages, and we expect that many brands will again start looking to grow via international franchising. Brands, including Anytime Fitness, FASTSIGNS, RE/MAX, Subway and Tim Horton's, have successfully expanded outside of their home markets.

Is an international franchise broker the right choice for your business?

As with most aspects of franchising there is no ‘right’ answer to all of those questions, but there may be a right answer for every individual business. That’s where experienced international franchise consultants come in, followed eventually by their colleagues, the brokers.

How do I Manage my overseas franchisees?

Make sure that your business standards and reporting processes are well defined, and develop a system for monitoring your overseas franchisees to ensure that they are following your procedures. Input and feedback from someone with a track record in international franchising can be invaluable when you’re just getting started.

Where can I find franchisee connections around the world?

Most countries have their own franchise associations, i.e. the Canadian Franchise Association (CFA), the Japan Franchise Association (JFA) or the Brazilian Franchise Association (ABF), that can provide significant help with franchisee connections, as well as vital information on market specific dynamics. Business Brokers.

Can a franchisor expand into another country?

Is there Foreign Interest in the Franchise?

What is the most profitable franchise in the world?

McDonald's The company's number of locations and annual revenue are also good indicators that it is the most profitable franchise to own. A reputable company like Mcdonald's could unlock new financing and commercial business. It is better than investing in a startup as it provides a higher net worth.

What are the advantages of international franchising?

International franchises can often gain traction in new markets where there's little other competition. For example, if your franchise specializes in offering quality Mexican cuisine, you may be able to do business in a region where you are relatively untouched by your competitors.

What is a global franchise?

International franchising is a strategic way to reduce dependence on domestic demand and grow new, future revenue and profit centers worldwide. Extending a brand globally through franchising involves low risk, requires minimal investment, and offers a huge upside potential for scaling capabilities.

What is pros and cons of international franchising?

Many businesses have flopped because they failed to take account of the financial risks involved.Advantage: Exposure to New Markets. ... Advantage: Favorable Regulations. ... Disadvantage: Cultural Differences. ... Disadvantage: Compliance Challenges. ... Disadvantage: Financial Risk.

What are 3 advantages of a franchise?

Advantages of buying a franchise You don't necessarily need business experience to run a franchise. Franchisors usually provide the training you need to operate their business model. Franchises have a higher rate of success than start-up businesses. You may find it easier to secure finance for a franchise.

What are the advantages and disadvantages of international licensing?

Exhibit 15.3AdvantagesDisadvantagesDoes not require capital investment or presence of the licensor in the foreign marketRevenues are usually more modest than with other entry strategiesAbility to generate royalty income from existing intellectual propertyDifficult to maintain control over how the licensed asset is used1 more row

What are the advantage and disadvantage of franchising?

franchising-tableAdvantagesDisadvantagesFranchisees may be more talented at growing the business and turning a profit than employees would beFranchisors earn royalties from sales. Franchisees earn money from profits. Achieving growth in both isn't always possible, potentially causing conflict6 more rows•Jan 30, 2015

What franchise system is better local or international?

A local brand is often considered more trustworthy and desirable; especially given that not everyone has travelled the world and is aware of a particular international brand.

Franchising Law in Nigeria—Part II FRANCHISING LAW: Does Nigeria Need ...

MAY 2014 www.nigerianfranchise.org 3 a careful and comprehensive review of existing laws. In most countries that have adopted franchise-specific laws, the laws

What is International franchising? Definition and meaning

International franchising. A system based on the licensing of the right to duplicate a successful business format in foreign markets. The franchisor grants to the franchisee the exclusive power to distribute its products or services in establishments which are equivalently equipped and furnished, as well as the right to use Intellectual Property Rights (commercial signs, brands, trademarks etc.).

International - Franchising.com

International franchise opportunities and global expansion are heating up, with American brands growing abroad and foreign brands opening franchised units in the U.S. Investing in the ...

1. Putting plans into action

Assuming that they have taken a conscious decision to embark on an international franchising project and are not just reacting to a chance enquiry, franchisors need a plan.

2. Preparation and marketing

The battleground of international franchising is littered with the corpses of inexperienced executives who tried the do-it-yourself approach.

3. The right skills set

Whatever the source of an enquiry, it is more likely to move through the recruitment process if it is professionally followed up and there is a clear process of stages through which it must pass.

Can a franchisor expand into another country?

Although a trademark is federally registered in the United States, it may not have any protection in other countries. Before expanding a franchise to another country, a franchisor should retain an intellectual property attorney that is familiar with the laws of the country to determine whether a trademark is already registered in that country. If not, a franchisor may not be able to expand into that country using their existing trademark. Also, although a trademark may be available in that country, a franchisor should determine if their trademark is culturally appropriate within that country. Many words, phrases, logos, and images used within the United States may have secondary meanings in other countries or may be seen as derogatory or offensive. It is important to determine this before franchising internationally to avoid any public relations issues.

Is there Foreign Interest in the Franchise?

An important question to address before franchising internationally is whether there has there been any interest in the franchise from a specific country. Many brands started franchising in the United States because someone approached them with interest in buying a franchise. A franchisor may also ask themselves why expand into another country at this time, is there someone interested in purchasing the rights to the entire country, and is there a sales team capable of soliciting franchise sales in the country?

What is intranet in franchise?

An intranet is a cost-effective method for managing your business and providing 24/7 access to training and support for your international franchisees, regardless of what time zone they’re in.

Is franchising a global business?

Today’s global marketplace has made it easier than ever to grow a business internationally, and franchising offers a proven way to achieve that expansion. Even though international franchising is a growing trend, going global is a big step that comes with lots of challenges such as cultural differences, language barriers, unexpected costs, unfamiliar regulations and legal issues, as well as the simple logistics of operating a business from a different country. If you’re considering going international with a new or existing franchise system, keep these tips in mind.

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Can a franchisor expand into another country?

Although a trademark is federally registered in the United States, it may not have any protection in other countries. Before expanding a franchise to another country, a franchisor should retain an intellectual property attorney that is familiar with the laws of the country to determine whether a trademark is already registered in that country. If not, a franchisor may not be able to expand into that country using their existing trademark. Also, although a trademark may be available in that country, a franchisor should determine if their trademark is culturally appropriate within that country. Many words, phrases, logos, and images used within the United States may have secondary meanings in other countries or may be seen as derogatory or offensive. It is important to determine this before franchising internationally to avoid any public relations issues.

Is there Foreign Interest in the Franchise?

An important question to address before franchising internationally is whether there has there been any interest in the franchise from a specific country. Many brands started franchising in the United States because someone approached them with interest in buying a franchise. A franchisor may also ask themselves why expand into another country at this time, is there someone interested in purchasing the rights to the entire country, and is there a sales team capable of soliciting franchise sales in the country?

Determine The Legal Requirements For The Country of Expansion

Is There Foreign Interest in The Franchise?

Is The Brand Strong Enough?

Securing Intellectual Property When Franchising Internationally

• Although a trademark is federally registered in the United States, it may not have any protection in other countries. Before expanding a franchise to another country, a franchisor should retain an intellectual property attorney that is familiar with the laws of the country to determine whether a trademark is already registered in that country. If n...

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